Regulatory examinations are the most critical tests faced by banking institutions and their holding companies. ICS offers a unique approach to assisting with the regulatory exam process. First, we help prepare clients by conducting mock examinations, enabling clients to address, in advance, issues that may arise during the examination. Second, we provide on-going assistance during the real exam, including the review of, and drafting of responses to, any examination findings.
Mock Exams – ICS conducts mock examinations using the examination checklists and procedures developed for federal bank examiners. A mock exam performed by an independent third party with no stake in the outcome represents the best possible means of ensuring favorable examination and audit results. A mock examination will include: |
- The initial documentation request
- Setting aside office space and equipment needed by examiners
- The initial meeting between examiners and the client’s examination coordinator
- Interviews with selected staff
- Reviews of actual transactions and related documentation
- Presentation of draft findings
- The exit meeting between examiners and management, where the examination findings are reviewed
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During the course of a mock examination, in addition to analyzing the substantive area being examined, ICS will assess: |
- The process established by the client to manage an examination, including selection of an examination coordinator and the ground rules for communications between examiners and staff;
- The adequacy of the client's responses to documentation and other information requests; and
- The effectiveness of communications between staff and the mock examiners
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The Exam – ICS also assists clients during a real examination by ensuring that examiner document requests are properly coordinated, assisting staff in responding to examiner questions, researching issues raised by examiners, responding to draft findings by examiners, and recommending corrective actions in response to examination findings. |
